Katz on Trade War: Sacrifice for Long-Term Benefit of Economy and American Worker
The escalating trade war between the United States and China shows no sign of abating Tuesday, as media outlets report the Trump administration is preparing a new list of $300 billion worth of Chinese imports that would be hit with tariffs of up to 25%, after China retaliated on Monday by announcing it would impose tariffs of up to 25% on $60 billion worth of U.S. goods starting in June
The Office of the U.S. Trade Representative published a list of Chinese goods that would be hit with new duties, ranging from artists' brushes and paint rollers to clocks and watches, according to NPR. The list also includes a wide range of sporting goods, from baseballs to fishing reels. And it dedicates several pages to agricultural products, from livestock to dairy, plants and vegetables. Staples such as rice and tea are on the list.
Meanwhile, U.S. stocks clawed their way back Tuesday, recovering some of Monday's losses. The Dow Jones Industrial Average added 353 points, or 1.4%, to 25,678, the S&P 500 gained 40 points, or 1.4%, to 2,851, and the Nasdaq climbed 124 points or 1.6%, to 7,770.
WIBC host Tony Katz reiterated his position Tuesday that the additional taxes and financial burden on U.S. consumers in the short-term is a necessary sacrifice for long-term economic stability.
"Yes, trade wars are not good and not easy to win, and yes, we're going to end up paying more. I do say, however, that getting better trade deals, I'll take the hit right now to get the better deal in the long term. Why? Because it's not just about how much you pay for your smart phone; it's about the stealing of technology; it's about trade secrets; it's about military build up. China on top is a terrible, terrible world."
Click the link below to hear Tony's full commentary.